In an attempt to meet the increased demand from the electric power plants, Egypt will divert the natural gas supplies away from the industry in August, according to Reuters.
Electricity demand for gas is likely to rise to 3.9bcf/d in August, up from the current consumption of 3.2bcf/d of gas. Egypt currently produces 3.9 bcf/d of gas and imports approximately from 1 to 1.1 bcf/d, Aswat Masriya wrote.
An official from EGAS was quoted by Reuters saying: “We have informed the industrial sector that its supplies of gas will be reduced and have requested that they use this period for maintenance.”
The Egyptian Natural Gas Holding Company (EGAS) was once forced to limit gas supplies to the industries during a former stressful period that witnessed Egypt’s power consumption peak, during which energy production stumbled.
In March, EGAS planned to reduce the price it offers natural gas to steel and iron factories to $4.5 per 1mtu, down from $7, but this has yet to be implemented.